Geographical Expansion
Expected: FY26-FY27HIGH confidence
What: Manufacturing Capacity: 1.5x scale-up
Impact: Doubling growth
Ingersoll-Rand (India) Ltd: Why Is It Outperforming Nifty 500?
ActiveRS +33.7%Average6w StreakRe-Entry
In , Ingersoll-Rand (India) Ltd (Compressors) is outperforming Nifty 500 with +33.7% relative strength. Fundamentals: Average. On a 6-week streak.
Ingersoll-Rand (India) Ltd Key Facts
- PE Ratio
- 52.2x
- Market Cap
- ₹14,443 Cr
- PAT Growth YoY
- -8%
- Revenue Growth YoY
- +19%
- OPM
- 25.0%
- RS vs Nifty 500
- +33.7%
PE: At PeakWatch Value
What's Happening
📊PE near cycle highs — limited room for further expansion
🏛️DII accumulation — stake up 2.0%
💰Trading 32% above estimated fair value — significant premium
Earnings Acceleration Triggers
1. Geographical Expansion
FY26-FY27HIGH
2. Value Added Product Mix Shift
OngoingMEDIUM
3. Target Price guidance raised
HIGH
Key Risks
1. One-time exceptional expense of ₹26
HIGH2. Gross profit margins eroded by 711 basis points, suggesting rising input costs
MEDIUMSector-Specific Signals
Manufacturing Scale-up1.5x
Rotary Screw Localization90%
Domestic Market Share18%
Key Numbers
PAT Growth YoY
-8%
Inflection Down
Revenue YoY
+19%
Stable
Operating Margin
25.0%
-200 bps YoY
PE Ratio
52.2
Current Price
₹4,575
Dividend Yield
1.75%
Fundamental Score
46/100
Average
3Y PAT CAGR
+35%
Market Cap
14.4K Cr
Valuation
Significantly Overvalued12-Week Performance
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
12 weeks agoThis week
Why Are Ingersoll-Rand (India) Ltd's Earnings Accelerating?
Based on Q3 FY26 (web) earnings • Updated Apr 18, 2026
Value Added Product Mix Shift
Expected: OngoingMEDIUM confidence
What: Product Adoption: Record production
Impact: Margin resilience
Target Price guidance raised
HIGH confidence
What: Rs 4,271 → Rs 4,589
What Are the Key Risks for Ingersoll-Rand (India) Ltd?
Earnings deceleration risks from management commentary
One-time exceptional expense of ₹26
HIGHTrigger: One-time exceptional expense of ₹26.58 crore due to implementation of new labor codes.
Impact: PAT impact: ₹26.58 Cr
Management view: Not Given
Monitor: regulatory
Gross profit margins eroded by 711 basis points, suggesting rising input costs
MEDIUMTrigger: Gross profit margins eroded by 711 basis points, suggesting rising input costs.
Impact: PAT impact: 711 bps margin erosion
Management view: Strategic initiatives to mitigate tough tariff conditions.
Monitor: commodity
What Did Ingersoll-Rand (India) Ltd Report This Quarter?
Headline numbers from the latest earnings call
Revenue
₹455.48 Cr
YoY +19.39%QoQ +41.48%
Revenue growth was driven by record production of large centrifugal compressors and sustained demand across industrial sectors.
EBITDA
₹114.23 Cr
Margin 25.08%
Margins compressed due to rising cost pressures and a substantial 711 basis point erosion in gross profit margins.
PAT
₹71.89 Cr
YoY -7.43%QoQ +19.14%
The bottom line was impacted by a one-time exceptional expense of ₹26.58 crore related to new labor code implementations.
Other Highlights
• Record production of large centrifugal compressors and oil-free rotary E-Series compressors achieved during the quarter.
• Exceptional expense of ₹26.58 Cr related to India's new labor code implementation impacted PAT.
• Interim dividend of ₹55 per equity share declared by the Board.
What Sector Metrics Matter for Ingersoll-Rand (India) Ltd?
Sub-sector-specific signals from the latest concall — each with management's stated reason for the change
Manufacturing Scale-up
1.5x
Why: Commissioning of the new Sanand facility enabled higher output.
Rotary Screw Localization
90%
Why: Strategic focus on driving AGS localization to support competitiveness.
Domestic Market Share
18%
Why: Not explained in source
What Is Ingersoll-Rand (India) Ltd's Management Guidance?
Forward-looking targets from management for 3 years
Revenue Growth Target
14.1%
Revenue Outlook
14.1% per annum
Margin Outlook
Targeting medium-term margin resilience through localization.
Capex Plan
₹1.7bn
Greenfield capacity expansion in Sanand, Gujarat.
Volume
Expect 1.5x scale-up in manufacturing output.
Management Tone: BULLISH
Guidance Changes
RAISED
Target Price: Rs 4,271 → Rs 4,589
Stronger execution aided by new facility ramp-up and robust order demand.
How Fast Is Ingersoll-Rand (India) Ltd Growing?
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | +19% | +14% | Stable |
| PAT (Net Profit) | -8% | +35% | Inflection Down |
| OPM | 25.0% | -200 bps | Contracting |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Apr 18, 2026.
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Frequently Asked Questions: Ingersoll-Rand (India) Ltd
Based on publicly available financial data. This is educational research, not investment advice.
What were Ingersoll-Rand (India) Ltd's latest quarterly results?
Ingersoll-Rand (India) Ltd's latest quarterly results (Dec 2025) show
- PAT Growth YoY: -7.7% (inflecting downward)
- Revenue Growth YoY: +19.1%
- Operating Margin: 25.0% (contracting)
Is Ingersoll-Rand (India) Ltd's profit growing or declining?
Ingersoll-Rand (India) Ltd's profit is declining with an inflecting downward trend.
- PAT Growth YoY: -7.7% (latest quarter)
- PAT Growth QoQ: +20.0% (sequential)
- 3-Year PAT CAGR: +34.6%
- Trend: Inflecting downward — consistent growth pattern
What is Ingersoll-Rand (India) Ltd's revenue growth trend?
Ingersoll-Rand (India) Ltd's revenue growth trend is stable.
- Revenue Growth YoY: +19.1%
- Revenue Growth QoQ: +41.3% (sequential)
- 3-Year Revenue CAGR: +13.7%
How is Ingersoll-Rand (India) Ltd's operating margin trending?
Ingersoll-Rand (India) Ltd's operating margin is contracting.
- Current OPM: 25.0%
- OPM Change YoY: -2.0% basis points
- OPM Change QoQ: +1.0% basis points
What is Ingersoll-Rand (India) Ltd's 3-year profit and revenue CAGR?
Ingersoll-Rand (India) Ltd's long-term compounding rates
- 3-Year Profit CAGR: +34.6%
- 3-Year Revenue CAGR: +13.7%
Is Ingersoll-Rand (India) Ltd's growth accelerating or decelerating?
Ingersoll-Rand (India) Ltd's earnings growth is inflecting downward with improving on a sequential basis.
- YoY Acceleration: -7.7% bps
- Sequential Acceleration: +18.3% bps
- Margin Warning: Operating margins are under pressure
What is Ingersoll-Rand (India) Ltd's trailing twelve month (TTM) performance?
Ingersoll-Rand (India) Ltd's trailing twelve month (TTM) performance
- TTM PAT: ₹259 Cr
- TTM PAT Growth: -1.9% YoY
- TTM Revenue: ₹1,000 Cr
- TTM Revenue Growth: +7.0% YoY
- TTM Operating Margin: 24.8%
Is Ingersoll-Rand (India) Ltd overvalued or undervalued?
Ingersoll-Rand (India) Ltd appears significantly overvalued based on our fair value analysis.
- Valuation Signal: Significantly Overvalued
- Current PE: 52.2x
- Price-to-Book: 22.2x
What is Ingersoll-Rand (India) Ltd's current PE ratio?
Ingersoll-Rand (India) Ltd's current PE ratio is 52.2x.
- Current PE: 52.2x
- Market Cap: 14.4K Cr
- Dividend Yield: 1.75%
How does Ingersoll-Rand (India) Ltd's valuation compare to its history?
Ingersoll-Rand (India) Ltd's current PE is 52.2x.
- Current PE: 52.2x
- Valuation Assessment: Significantly Overvalued
What is Ingersoll-Rand (India) Ltd's price-to-book ratio?
Ingersoll-Rand (India) Ltd's price-to-book ratio is 22.2x.
- Price-to-Book (P/B): 22.2x
- Book Value per Share: ₹206
- Current Price: ₹4575
Is Ingersoll-Rand (India) Ltd a fundamentally strong company?
Ingersoll-Rand (India) Ltd is rated Average with a fundamental score of 46.29/100. This score is calculated from objective financial metrics
- Revenue Growth YoY: +19.1% (10% weight)
- PAT Growth YoY: -7.7% (10% weight)
- PAT Growth QoQ: +20.0% (10% weight)
- Margins contracting (10% weight)
Is Ingersoll-Rand (India) Ltd debt free?
Ingersoll-Rand (India) Ltd has a debt-to-equity ratio of N/A.
- Total Debt: ₹11 Cr
What is Ingersoll-Rand (India) Ltd's return on equity (ROE) and ROCE?
Ingersoll-Rand (India) Ltd's return ratios over recent years
- FY2023: ROCE 44.0%
- FY2024: ROCE 51.0%
- FY2025: ROCE 60.0%
Is Ingersoll-Rand (India) Ltd's cash flow positive?
Ingersoll-Rand (India) Ltd's operating cash flow is positive (FY2025).
- Cash from Operations (CFO): ₹265 Cr
- Free Cash Flow (FCF): ₹228 Cr
- CFO/PAT Ratio: 99% (strong cash conversion)
What is Ingersoll-Rand (India) Ltd's dividend yield?
Ingersoll-Rand (India) Ltd's current dividend yield is 1.75%.
- Dividend Yield: 1.75%
- Current Price: ₹4575
Who holds Ingersoll-Rand (India) Ltd shares — promoters, FII, DII?
Ingersoll-Rand (India) Ltd's shareholding pattern (Mar 2026)
- Promoters: 75.0%
- FII (Foreign): 1.3%
- DII (Domestic): 8.2%
- Public: 15.5%
Is promoter holding increasing or decreasing in Ingersoll-Rand (India) Ltd?
Ingersoll-Rand (India) Ltd's promoter holding has remained stable recently.
- Current Promoter Holding: 75.0% (Mar 2026)
- Previous Quarter: 75.0% (Dec 2025)
- Change: 0.00% (stable)
How long has Ingersoll-Rand (India) Ltd been outperforming Nifty 500?
Ingersoll-Rand (India) Ltd has been outperforming Nifty 500 for 6 consecutive weeks, indicating building momentum.
Is Ingersoll-Rand (India) Ltd a new momentum entry or an established outperformer?
Ingersoll-Rand (India) Ltd is a re-entry — it briefly dropped off the outperformance list but has now returned. Re-entries can signal renewed strength.
What are the growth catalysts for Ingersoll-Rand (India) Ltd?
Ingersoll-Rand (India) Ltd has 3 key growth catalysts identified from recent earnings analysis
- Geographical Expansion — Directly enables the volume growth needed to meet management's doubling target.
- Value Added Product Mix Shift — Shift toward high-value, oil-free compressors improves the margin profile over time.
- Target Price guidance raised — Stronger execution aided by new facility ramp-up and robust order demand.
What are the key risks in Ingersoll-Rand (India) Ltd?
Ingersoll-Rand (India) Ltd has 2 key risks worth monitoring
- [HIGH] One-time exceptional expense of ₹26 — One-time exceptional expense of ₹26.58 crore due to implementation of new labor codes.
- [MEDIUM] Gross profit margins eroded by 711 basis points, suggesting rising input costs — Gross profit margins eroded by 711 basis points, suggesting rising input costs.
What is Ingersoll-Rand (India) Ltd's management guidance for growth?
Ingersoll-Rand (India) Ltd's management has provided the following forward guidance for 3 years
- Revenue growth target: 14.1%
- Margin outlook: Targeting medium-term margin resilience through localization.
- Capex plan: ₹1.7bn for Greenfield capacity expansion in Sanand, Gujarat.
- Management tone: bullish
- Milestone: [RAISED] Target Price: Rs 4,271 → Rs 4,589
What sector-specific metrics matter most for Ingersoll-Rand (India) Ltd?
Ingersoll-Rand (India) Ltd's most important sub-sector-specific KPIs from the latest concall
- Manufacturing Scale-up: 1.5x — Commissioning of the new Sanand facility enabled higher output.
- Rotary Screw Localization: 90% — Strategic focus on driving AGS localization to support competitiveness.
- Domestic Market Share: 18% — Not explained in source
Is Ingersoll-Rand (India) Ltd worth studying for long term investment?
Based on quantitative research signals, here is why Ingersoll-Rand (India) Ltd may be worth studying
- Cash flow is positive — CFO ₹265 Cr
What is the investment thesis for Ingersoll-Rand (India) Ltd?
Ingersoll-Rand (India) Ltd investment thesis summary:
Research Signals (Bull Case)
- Revenue growing at +19.1% YoY
- Growth catalyst: Geographical Expansion
Risk Factors (Bear Case)
- Margins under pressure
- Appears significantly overvalued
- Key risk: One-time exceptional expense of ₹26
What is the future outlook for Ingersoll-Rand (India) Ltd?
Ingersoll-Rand (India) Ltd's forward outlook based on current data signals
- Earnings Trend: inflecting downward
- Revenue Trend: stable
- Margin Trend: contracting
- Valuation: Significantly Overvalued
- Key Catalyst: Geographical Expansion
- Key Risk: One-time exceptional expense of ₹26
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.